DWP red flags that show you're under investigation and what they can legally access
According to the Department for Work and Pensions' own figures, millions of pounds are lost to benefit fraudsters annually, leading to increased scrutiny around eligibility and pressure on some claimants to prove their entitlement. Despite this, the DWP's surveillance capacity is limited, especially when a claimant isn't under active investigation.
Typically, claimants suspected of benefit fraud will be notified shortly after suspicions are reported, often triggering an investigation. The department may occasionally conduct a random check, but this is uncommon.
For the financial year ending 2024, DWP data reveals that 3.7% (£9.7 billion) of total benefit expenditure was overpaid due to fraud and error. In response, the Fraud, Error and Debt Bill will grant investigators new powers, such as requiring banks and financial institutions to share data that could indicate potential benefit overpayments, including highlighting savings.
Until these measures are implemented, under the current system, a person will be contacted by either the DWP, HMRC, Defence Business Services or their local authority depending on the type of benefits claimed and the seriousness of the allegations being investigated. During the investigation process, your benefits may be suspended, but you will receive a letter explaining this if it applies.
If you find yourself struggling financially during an investigation if your benefits are halted, Citizen's Advice recommends seeking advice from a professional who can inform you about potential payments you may be eligible for. Those suspected of benefit fraud might receive a visit from a Fraud Investigations Officer or be requested to attend an "interview under caution", which is typically recorded and could be used in a criminal investigation, reports Lancs Live.
Both of these are methods of gathering information to better understand your case. Legal advice on your case can be sought from a legal advisor, solicitor or Citizen's Advice.
According to JD Solicitors, investigations usually span a few months, but they noted that some extreme cases can take up to a couple of years while others only last a few weeks at most. Citizen's Advice emphasised that having your benefits stopped, being asked to confirm things or other signs that may seem to indicate you're under investigation doesn't necessarily mean this is the case.
The DWP also routinely checks to ensure benefit claimants are receiving the correct amount. The DWP is also set to gain a new power forcing financial institutions to co-operate with investigations by providing minimal information about claimants.
This does not grant them direct access to see bank accounts of claimants but rather requests the bank to provide limited information to verify the account holder's eligibility for benefits.
You might also be asked to provide information about any lifestyle changes that could have impacted your benefits. Proof of these changes, such as a doctor's letter confirming that your condition hasn't changed, or bills showing who resides in your household, may be required.
Those claiming Universal Credit could be asked to provide copies of their passport, tenancy agreement, or even photos of themselves outside their home. For more details on what occurs if someone is suspected of committing benefit fraud, click here.
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